Legislators: the inclusion of government capital takes reinsurance

Harry Azhar Aziz (INTERMEDIATE)

Domestic Reinsurance must be strengthened, because market size more foreign reinsurance, "

Bangalore (Reuters)-State-owned enterprises engaged in the reinsurance needs of capital investment in the country to minimize the industry's cash flow out of the country.

"The domestic Reinsurance must be strengthened, because market size more foreign reinsurance," said Vice Chairman of Commission XI DPR RI Harry Azhar Azis in Batam on Sunday.

To strengthen the domestic reinsurance, the Government should inject funds pemrintah capital participation in STATE-OWNED ENTERPRISES engaged in such Public Reinsurance reasurasi Indonesia, PT.

"I propose to Rp7 Rp5 billion should be allocated to the STATE-OWNED company, PMN," he said.

The value of reinsurance premiums in Indonesia each year approximately 80 percent Rp30 billion and up to 90 percent are now dikusai foreigners.

"If possible, we find only half of the premium Fund Rp30 billion," he said.

According to him, the company has yet to capture the opportunities that reinsurance in order to fund the premiums do not flee abroad. The HOUSE of REPRESENTATIVES is attempting to revive a national reinsurance through the efforts of BILL Perasuransian plan discussed on this year.

"On March 26, there will be a working meeting with Kemenkeu, I am targeting August already entered finalization," he said.

(Y011/S004)